NEW ECONOMIC POLICY 6 Flashcards
WHY WAS WAR C ABANDOND?
reds won civil war> no longer needed
socially economically disastrous (ag output/famine/food/indsutry)
emerging political opp end 1920> strikes/kronsdat rebelion/peasnts rebellion/split within party
objective of new economic policy
incentive peasants to produce more
relive famine
kickstart industry
win back support of peasnts and workers (consumer goods)
main features of new economic policy
grain req replaced with quota
ban on private trade lifted
food rationing abolsihed
small scale industry privatised(mixed economy)
large scale industry nationalsied
new currency - soviet rouble introduced 1922
emergence NEP EMN
from lenin perspective: nep represented
state capitalism, he saw it as a temp phase to rebuild economy and progress to socialism.
from lenin perspective: state acts as a
capitalist and attempts to make profit through control of the economy and profits reinvested to dev new industries. (STATE TAXED PEASNTS PROTION OF PRODUCE> SOLD TO WORKERS/EXPORTED FOR PROFIT)
success of nep: economically
grain harvest inc considerably (1921 37.6m tons v 1926> 76.8
food making its way from countryside to towns (private trade> incentive)
famine releavd
lead to indsutrul recover (coal steel fabric) THIS WAS
ALSO DUE TO END OF RCW STOP GIVING EVYHTING TO MILTIAYR
success of nep : politically
peasant rebellions ended, workers strikes and demonstrations declines
weakness of nep : economically
famine not totally removed till 1923
unemployment rose
1923-4 scissor crisis
SCISSOR CRISIS
lots of ag output minimum induritola input ( ag prices down, industrial prices up)
= peasant can’t afford industrial goos so high in price creating crisis
OVERCOMING SCISSOR CRISIS
reduce price of industrial goods, replace tax in kind on peasnts with a monetary tax= force peasants to stop hoarding grain, give incentive to put food market as goods now affordable, they had to make money
weakness of nep : political
dud lead to some politically tentiosn> ideological betrayal, ensured that capitalist social groups survived and prospers eg nep men and kulaks.
resent form workers due to employment
left communist wanted to abandon nep .capitlaism
workers opp still opssed lack of control workers had in idnsutyrb